Earned Income Tax Credit (EITC)

What is the Earned Income Tax Credit? 

 The Earned Income Tax Credit (EITC) is a tax benefit for low- to moderate-income workers ages 25 to 65. If you’re 65 or older, you can’t claim this credit, even if you’re still working. That’s because the EITC is designed to help workers who are likely still building their careers and raising families. Older adults are generally assumed to have other sources of income, like Social Security or retirement savings, so the credit doesn’t apply. 

Do I qualify for the Earned Income Tax Credit? 

To qualify for the Earned Income Tax Credit, there are certain requirements you must meet. These include:  

• You are between the ages of 25 and 65. 

• If you are married filing jointly with no children, only one spouse needs to meet the age rule 

• You earned money through a job, but did not go over the income limit 

• Your income is below the yearly income limit set by the IRS. 

• You did not file Form 2555 (foreign income form) 

• You have a Social Security number and were a U.S. citizen or resident alien all year 

• You filed your tax return on time 

Other important rules: 

• In 2025, you can’t earn more than $11,950 from investments (like stocks or savings). 

• If you’re married but separated, you may still qualify if: 

• Your child lived with you for more than half the year, 

• You didn’t live with your spouse during the last 6 months of the year, or 

• You have a legal separation agreement. 

Note: Special rules may apply to military members and clergy members (like ministers or pastors), and people with disabilities.  

Not sure if you qualify for the EITC? 

The IRS has an online calculator called the EITC Assistant to help you find out if you qualify for this tax credit. To use it, gather: 

• Income forms (like W-2s or 1099s) 

• Papers showing taxes taken out or money paid to you 

• Any expenses or income changes 

The online calculator will ask you a few questions and then determine whether you are eligible for the EITC. 

How do I Claim the Earned Income Tax Credit? 

To claim the EITC, file your taxes using Form 1040 or 1040-SR for the year you are filing. If you have children, you’ll also fill out Schedule EIC with their information. There are many free tax filing tools that can make the tax filing process easier. 

What if I need help claiming the Earned Income Tax Credit? 

If you need help claiming the EITC or have questions about the credit, help is available. You can: 

• Contact the IRS’s Volunteer Income Tax Assistance (VITA) or Tax Counseling for the Elderly (TCE) programs where trained volunteers are ready to help. To find a VITA or TCE site near you, use the VITA Locator Tool or call 800-906-9887. 

• Contact your local IRS office for help. 

Frequently Asked Questions 

What counts as earned income for the EITC? 

Earned income is money you make from working. This includes pay from a job, self-employment, or running a business or farm. It can also include tips, union strike benefits, and some disability payments received before retirement age. 

Examples of earned income: 

• Wages or tips from a job (shown on Form W-2) 

• Money from independent work like selling online or freelance work 

• Income from your own business or farm 

• Certain disability benefits 

What doesn’t count as earned income: 

• Money from Social Security, unemployment, child support, alimony, interest, or pensions 

• Income earned while in prison 

Are older adults still eligible for the Earned Income Tax Credit? 

No. If you’re 65 or older, you can’t claim the EITC, even if you’re still working. The rules were temporarily expanded during the pandemic, but that change has now ended. While younger workers may use the credit to boost their income or get a refund, older adults need to look at other tax benefits that are designed for people in retirement. 

Can I claim the EITC for past years? 

Yes. If you didn’t get the EITC before but believe you would have qualified, you may be able to go back and claim it. If you filed your taxes but didn’t claim the credit, you can send in an amended return. If you didn’t file taxes at all, you’ll need to file a return for each year you qualified. You can usually go back and do this for up to three years.